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Expected timing of the software update for elimination of APTC repayment for 2020

Agreed.  Why is this update taking so long?  This isn't something that has to be cleared with the IRS...it's simply a programming update so we can file our taxes.  TT has known about this for weeks now.  Please prioritize.  Thank you for listening.

Expected timing of the software update for elimination of APTC repayment for 2020

@LinaJ2020, @BillM223, @DawnC

 

As of May 5th, 2021 this still has not been fixed. It is now 12 days until filing day.

 

Can you please respond to this thread and give us customers some information? Will this be fixed in time? Will it be fixed ever? This is getting ridiculous!

 

Specifically Home & Business Desktop Mac edition.

DawnC
Employee Tax Expert

Expected timing of the software update for elimination of APTC repayment for 2020

You can tell TurboTax in the 1095-A section that the insurance is not associated with self-employment.  This will prevent TurboTax from getting involved in determining the SEHI deduction amount or checking to see if the sum of the SEHI deduction and PTC exceeds total premiums.      

 

You can manually enter the SEHI deduction from the Schedule C section.    The amount of the deduction + any Premium Tax Credit you received on Schedule 3 cannot exceed the amount of premiums paid.   The line 16 entry can't be larger than your net profit minus the deductions on line 14 and 15 (the deductible part of the SE tax and the contributions to your Self-Employed SEP, SIMPLE, and Qualified Plans. So increasing your retirement contributions can actually decrease your self-employed health insurance deduction.

 

If you are using the desktop software, you can adjust the Medical Expense deduction by entering a positive adjustment on Line 13a to remove the amount (or portion of that amount) on Line 2b that was claimed as a SEHI deduction from the Schedule C section.   If you don't make this adjustment from Forms mode, your Schedule A deduction will be overstated.    @hbomb1

 

Another discussion about this topic can be referenced here.    Since the SEHI  adjustment  changes the rest of the return and affects the PTC later, the final adjustment  is not calculated and added until the PTC is calculated and then the SEHI is adjusted.    

 

Another discussion about SEHI and PTC.

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Expected timing of the software update for elimination of APTC repayment for 2020

I've used Turbo Tax for almost 20 years, this will be the last. They have had plenty of time to resolve this issue, and their lack of communication of the resolution is unacceptable.  

Expected timing of the software update for elimination of APTC repayment for 2020

@DawnC I appreciate someone from Intuit finally replying. However I am unable to edit my return in 'Forms Mode' to try the hacks you mention. I can't seem to edit any values in Forms Mode. Really I just want to change Line 16 of Schedule 1. (My premium amount - APTC). How can I do this in Forms mode???

 

You didn't answer if/when the software will be updated. So I assume that it will not be. The 'end of April' update didn't fix anything unfortunately. And the silly message saying to 'wait to file, our software will be updated by the end of April at the latest' is still there on May 6th...

 

I'm using the Mac Desktop Home & Business edition.

Expected timing of the software update for elimination of APTC repayment for 2020

This morning (May 7) I fired up the program (Desktop Home & Bus) to find there was another update from TurboTax.  I think it might have been available the day before.

 

The numbers seem pretty much right (or close enough), so I think it may have fixed the issue with amount for the Self-Employed Health Insurance Deduction.

 

Have others found the same thing? - things seem "correct" ?

 

I'm crossing my fingers and still waiting a few days to see if there are more updates.  I might file an extension just to be cover my options.

 

Now have to check and re-do other things that are affected, because it changes the AGI.

 

Cheers

Expected timing of the software update for elimination of APTC repayment for 2020

When is the update for this problem? The recent updates did not fix it!

 

 

Expected timing of the software update for elimination of APTC repayment for 2020

I'm curious - what exactly is not fixed on your end?   Which actual calculated item?

 

Cheers

Expected timing of the software update for elimination of APTC repayment for 2020

The software needs to updated to correct the repayment of the APTC on my return? And I'm not lying on my return, like all the work arounds they recommend want me to do. I'm self employed, I'm not going to say I'm not just because TT can't provide a decent product. 

Expected timing of the software update for elimination of APTC repayment for 2020

Don't take my word on this (I got this info from a local tax preparation professional) , but I believe the repayment (whatever it might happen to be) is being waived for 2020, because of the American Rescue Act.   Even if one's income is above 400% of the FPL.  I'm not sure but you might get a break regardless of how much higher your income is.  I'm not sure but the window might being extended up to 600%, but I'm not sure if that's for 2020 or going forward for the next year or two.     So you may get to keep the APTC and apparently, form 8962 does not need to be filed with the IRS.  So you may not see any APTC repayment necessary and your tax liability will be correspondingly lower.

 

Does that relate to your issue or is it something else?

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